I fully intended to provide you all with a precis of my knowledge of international high finance but as that would leave a blank page you will have to make do with the usual mix of OPO (Other People's Opinions) with a dash of my prejudices added. All this is provoked, of course, by the Swiss National Bank's (SNB) decision to dump the euro to which it had foolishly tied the Swiss franc. Some results were instantaneous, like the value of the Swiss franc shooting up over the moon and just about every stock market plunging - although they soon recovered. The British pound reached e1.30 for the first time since Magna Carta was signed, or at least, that's what it feels like, so if you're off on your hols to Europe it's "A Good Thing" but if it's a ski-ing holiday to Switzerland it's "A Bad Thing" because it's going to cost you a packet - oh dear, what a pity, never mind!
However, what is really interesting about the SNB's decision is the ultra strong hint that they know that Draghi and his European Central Bank (ECB) have got their way, despite German reluctance, for a euro-printing exercise. It looks as though the 'Kaiserin' blinked after all! One can only assume that she has squared away the judges sitting in her constitutional court but as German tax-payers realize that they will, after all, be paying for Greek profligacy she may be facing 'interesting times'! Incidentally, on the subject of Greece, Zero Hedge reports that two Greek banks have sought emergency funding because of panic withdrawals by their customers. Elsewhere I read that old Greek habits die hard because when in doubt the Greek people, rather wisely, I feel, simply hold back from paying their taxes. Consequently in recent months the Greek government has seen its tax revenues drop by around 80%. The people are revolting - er, yeeeeeees, quite!
